Analysis originally distributed on November 23, 2016 By: Michael Vodicka of Cannabis Stock Trades
If anyone thought investing in weed stock was going to be easy, this week was a reality check.
Cannabis stocks collided with two obstacles in the last week.
The first, four of the largest Canadian medical marijuana stocks were temporarily halted because of high levels of volatility.
For example, last Wednesday Canopy Growth Corp (CGC) was surging into a new all-time high above $17 – up more than 20% on the day.
While that was great news for shareholders, it set off the Toronto Stock Exchanges (TSE) circuit breaker. Shares were temporarily halted so the exchange engines wouldn’t melt down like a hunk of warm cheese.
Aphria (APH), the second-largest Canadian medical marijuana company, and Organigram (OGI), the third-largest Canadian medical marijuana company, were also halted last week after hitting new all-time highs.
The trading halts only lasted a few minutes at a time.
However, damage was inflicted. [Read more...]